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2013/04/19

| 04.19.13 | Apple's iOS app system hacked in China

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FierceMobileContent: Monetizing Mobile Content

April 19, 2013
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Today's Top Stories

  1. Chinese site exploits Apple tools to offer pirated iOS apps to non-jailbroken devices
  2. Facebook makes voice calling free in U.S. on Android via Messenger, Home
  3. Google promises Motorola phone advancements, trumpets Google Glass
  4. Apple stores Siri user data for up to 2 years
  5. Report: Android lags iOS in mobile ad spend, value


Editor's Corner: Avoiding the pitfalls of Android fragmentation

Also Noted: Spotlight On... Microsoft updates Facebook for Windows Phone 8 to solve crashing issue
LinkedIn to test ads in mobile apps; Socialcam adds expanded user profiles, hashtags and much more...

Wireless in the first quarter of 2013
As always, FierceWireless will be tracking all of the major wireless companies as they report first quarter results, and we'll bring you all of the details. Importantly, we'll be listening to the earnings conference calls for most of the major companies in wireless, which is where executives often drop critical hints as to the direction their business is taking. Check out our first quarter earnings report page here to see which companies have already reported and which will report next, and feel free to bookmark the page since we'll keep it updated throughout the full first quarter earnings report season. Special report


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This week's sponsor is Neustar.
Neustar
Webinar: Creating new business opportunities with customer data
Thursday, May 16th, 2pm ET/ 11am PT

It's no secret that wireless operators have interesting data on their customers, but privacy concerns have always kept operators from profiting from it. Join us to discuss how operators can leverage their customer data, while still protecting customer privacy. Register Today!



Editor's Corner

Avoiding the pitfalls of Android fragmentation

By Sue Marek Comment | Forward | Twitter | Facebook | LinkedIn

Sue Marek

According to NetMarketShare data, Apple's iOS operating system still dominates the U.S. smartphone market with a 54.91 percent market share as of February. But Apple's lead is waning as Google's Android continues to make inroads. NetMarketShare stated that Android captured 25.65 percent of the U.S. market in February, an increase from 19.27 percent in April 2012.

Google has worked hard to increase its market share--the company has partnerships with more than 60 manufacturers and more than 75 million Android devices have been activated globally.

Although Android's open source operating system is appealing to developers, that success comes with a downside--fragmentation. Those 75 million devices outfitted with Android OS have different iterations of Android, creating challenges for device makers, developers and wireless operators.

But there are solutions to help ease the madness. Some test solutions offer tools for app developers to try out their apps on different versions of Android and on different devices.

However, some developers are looking ahead to the next big thing--and some believe HTML5 is the future of mobile apps. But there are still glitches that need to be resolved when it comes to developing with HTML5. For example, discoverability is a problem as is monetization.

Clearly there is no easy solution to solving fragmentation in the Android marketplace. In this FierceWireless ebook we will delve into the reasons behind the fragmentation and find out what developers, handset makers and others are doing to overcome this obstacle. Download it here.--Sue

Read more about: NetMarketShare, Google
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Sponsor: uTest

FierceLive! Webinars

> Creating new business opportunities with customer data - Thursday, May 16, 2pm ET / 11am PT

Events

> Competitive Carriers Global Expo - April 17-19 - New Orleans
> BlackBerry Jam for Developers - May 14-16 - Orlando, Florida
> Andrew Seybold Wireless University at CTIA 2013 - May 20, 2013 - Las Vegas, Nevada
> The App Summit - May 21, 2013 - Las Vegas, NV
> World of Tablets at CTIA 2013 - May 22, 2013 - Las Vegas, NV
> Fierce Innovation Awards 2012 Live Announcement of this Year's Winners - Now Available On-Demand

Marketplace

> Whitepaper: The Importance of Managing Privileged Accounts
> eBook: Smarter Service: The Contract Center of the Future
> Whitepaper: VoLTE: Why, When and How?
> Research: How to Unlock Knowledge from Big, Unstructured Data to Improve Customer Service
> eBook: The Promise of VoLTE
> Whitepaper: Cisco Small Cell Solution: Reduce Costs, Improve Coverage
> eBook: eBook | Avoiding the Pitfalls of Android Fragmentation

Jobs

> Instructional Developer II - Denver, CO - Cricket Communications
> Need a job? Need to hire? Visit FierceWirelessJobs

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Today's Top News

1. Chinese site exploits Apple tools to offer pirated iOS apps to non-jailbroken devices

By Jason Ankeny Comment | Forward | Twitter | Facebook | LinkedIn

A new Chinese website reportedly exploits Apple's (NASDAQ:AAPL) own licensing technology to offer pirated versions of premium iOS applications to non-jailbroken devices.

The site, 7659.com, first identified by Taiwanese blog M.I.C. Gadget, is a Web portal mirroring a desktop program called Kuaiyong, owned by Beijing-based YouRanTianDi Technology Co Ltd. The site leverages Apple's enterprise app deployment platform, which allows corporate users to roll out apps to iPhone and iPad-equipped employees--the licensing protocol effectively enables unlimited installs using a sideloading-like method that does not require device jailbreaking (a legal but warranty-voiding process that allows consumers to run unauthorized software, features and user interface tweaks not supported by the original manufacturer).

VentureBeat notes that 7659.com offers free, full-featured versions of premium apps and games including Final Fantasy V (typically priced at $15.99), Badland ($3.99) and Le Vamp ($1.99).

"Statistics have shown that a significant amount of Apple users are Chinese-based. However, the fact is that in China, a large number of Apple users are not very familiar with the iTunes system and how to effectively manage it," Kuaiyong states. "In order for Chinese Apple fans to download applications securely, Kuaiyong developed its own method of giving users access to thousands of free apps without having to jailbreak their devices. Kuaiyong offers detailed descriptions of apps, free app download trial[s], iOS device management and [a] visual and audio file backup system. iOS system backup and recovery features will also be released in the very near future."

Because the 7659.com proxy software is not supported internationally, the pirated apps are not available to consumers outside of the Chinese market, although ID address spoofing allows overseas users to browse the site. M.I.C. Gadget reports the Kuaiyong team is readying an international version of the program, with an English version optimized for Microsoft's (NASDAQ:MSFT) Windows platform coming soon.

Apple has not yet responded to requests for comment on the matter.

App piracy remains an issue for Apple despite the company's ongoing efforts to lock down the iOS ecosystem. Earlier this year, piracy community Hackulous closed, spelling the demise of its Installous jailbreak app, but new piracy options quickly emerged to fill the void; one app, Zeusmos, provides users with a license and provisioning profile that allows them to install pirated apps, and it is available for free on jailbroken devices or sold as a premium download for non-jailbroken units.

For more:
- read this M.I.C. Gadget article
- read this VentureBeat article
- read this Apple Insider article

Related articles:
Apple thwarts Evasi0n jailbreak with iOS 6.1.3 update
Evasi0n jailbreak for Apple's iOS updated to fix glitches
Hackers release Evasi0n jailbreak for Apple's iOS 6, downloads crash server
Why the Hackulous, Installous shutdown won't end iOS app piracy
iOS jailbreak app Installous shuts down, but new piracy options emerge
Apple releases iOS 6.1.3 beta to fix iPhone lockscreen vulnerability 
Apple adds HTTPS encryption to App Store

Read more about: 7659.com, Apple
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This week's sponsor is uTest.

eBook | Avoiding the Pitfalls of Android Fragmentation

Fragmentation between the multiple Android operating systems continues to plague device makers, developers and wireless operators. This eBook explores ways to overcome these challenges. Download for free today.



2. Facebook makes voice calling free in U.S. on Android via Messenger, Home

By Jason Ankeny Comment | Forward | Twitter | Facebook | LinkedIn

A month after Facebook (NASDAQ:FB) added free VoIP calling to the Canadian version of its over-the-top Messenger application for Google's (NASDAQ:GOOG) Android, the social networking giant is now extending the feature to Messenger users in the U.S., concurrently integrating voice services into its fledgling Home launcher.

Facebook Messenger now enables American consumers to call Android and Apple (NASDAQ:AAPL) iPhone users for free via Wi-Fi or cellular data connection. To initiate a call, users open a conversation with their Facebook friend, tap the "i" button in the top-right corner and click Free Call. Call recipients will receive a push notification indicating someone is attempting to reach them.

Users can also make calls via Facebook Home, the alternative Android homescreen introduced earlier this month. Facebook Home promises more immediate and efficient access to Android applications and social media updates and includes features like chat heads, which lets users message with friends while accessing other mobile apps. Users can now initiate voice calls from chat heads by clicking the three "more info" dots next to a contact's name, which moves the conversation to the Messenger app, then following the standard Messenger calling protocol.

Facebook launched Messenger in mid-2011 in an effort to steer users away from conventional operator SMS solutions. The company now offers VoIP calling across 24 international markets. Messenger for iPhone added VoIP support in January.

For more:
- read this Verge article
- read this TechCrunch article

Related articles:
Facebook expands Messenger voice calling to U.S. iPhone users
Facebook adds voice messaging to Messenger for iOS, Android
Facebook opens Messenger for Android to non-Facebook users
Facebook expands Chat Heads to Messenger for Android
Facebook to wireless carriers: Let's team up for profits

Read more about: Facebook Home, Mobile Social Networking
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3. Google promises Motorola phone advancements, trumpets Google Glass

By Mike Dano Comment | Forward | Twitter | Facebook | LinkedIn

Google (NASDAQ:GOOG) CEO Larry Page again hinted at the company's upcoming Motorola phone products, noting the gadgets likely will feature improved battery life and tougher screens.

"In today's multiscreen world, the opportunities are endless," Page said during Google's first quarter earnings conference call. "Think of all your devices. Battery life is a challenge for most people. You shouldn't need to carry a charger in order to make it through the day. When you spill a drink on your tablet, the screen shouldn't die. When you drop your phone, it shouldn't shatter. There's a real potential to create new and better experiences, experiences that are much faster and more intuitive. Having seen some of Motorola's upcoming products myself, I'm really excited about the potential there."

Page's comments are an expansion of previous statements he and other Google executives have made in recent months. For example, Motorola has "a new set of products which I have seen and they are phenomenal," Google Executive Chairman Eric Schmidt said recently at the AllThingsD's D: Dive Into Mobile conference. "Think of it as phones+."

And Jim Wicks, Motorola's design chief, recently told PC Magazine the new generation of Motorola phones will launch in the second half of 2013, and will feature phones that break away from the trend of ever-bigger screens. Motorola is reportedly working on a so-called "X-Phone," an advanced Android device.

As for Google's Motorola business, the division reported an operating loss of $271 million on revenues of $1.02 billion in the first quarter of 2013. Google did not disclose shipment numbers for Motorola Mobility. In the fourth quarter, the company commanded a 1.2 percent share of the global cell phone market on shipments of 5.3 million units, according to ABI Research.

During Google's first-quarter conference call, Page also commented on Google's exploratory efforts with Google Fiber, Google Glass and the company's tests of self-driving cars. Broadly, Page said that Google is pursuing "revolutionary change." He pointed to the company's Google Glass product specifically: "I get chills when I use products of the future, and I get that using Glass."

Also: "Obviously Glass runs on Android," Page said, according to Cnet.

"We are still only at 1 percent of what's possible," Page said. "We are only getting started."

During the question-and-answer portion of the earnings call, Page and other Google executives addressed a variety of topics and concerns.

On whether Android is suffering from fragmentation, Page said that he had recently tested a number of different Android phones from a number of different suppliers. "The experiences are a bit different … But I find it a pretty great overall experience and there's a lot of innovation, and the platform is moving quickly," Page said. "And that's how we designed it. In a negative sense that's fragmentation and in a positive sense that's innovation and flexibility."

Page was also asked to comment on Facebook's Home product, which runs on Android and aims to replace many of the core functions of Android such as messaging and voice calling. Said Page: "At Google, we're really focused on creating great Android experiences within the strong ecosystem we have. It's really great to see developers really focused on and building for Android."

Google executives were also questioned about the progress of Google's mobile advertising business. The company in February released an overhauled version of its AdWords advertising platform, which company executives said allows advertisers to more easily direct advertisements to both desktop computers and mobile devices. Google's Nikesh Arora said Google has so far moved 1.5 million advertising campaigns onto the new, "enhanced" platform, and he said the company expects to move all of its advertising campaigns to the new AdWords platform by the end of the current quarter.

Finally, the company was also asked about its Google Fiber project, which Google this week expanded to Austin, Texas, and Provo, Utah. Page said the company sees improving consumers' Internet speeds as a way to encourage users to get online and potentially access Google's services. Google CFO Patrick Pichette said the speeds provided by Google Fiber will allow users to access YouTube videos instantly, instead of waiting for up to three seconds using the speeds provided by incumbent wired Internet providers. Google executives said the company will continue to pursue its Fiber business but declined to provide specifics.

Overall, Google reported total revenue of $14 billion and a net income of $3.35 billion. According to reports, Wall Street had expected slightly more revenues and profits. Google's shares were up around 2 percent immediately after the release of the company's first quarter earnings results, to around $783 per share in after-hours trading.

For more:
- see this Google release
- see this Cnet article

Special Report: Wireless in the first quarter of 2013

Related Articles:
Google's Schmidt calls Motorola's upcoming products 'phones +'
Google: Mobile browser access speeds surge 30% from 2012
Google, Millennial Media executives debate future of mobile advertising
Google Fiber comes to Austin, mayor announces
Facebook takes over Android with Home, AT&T to offer HTC First Facebook phone

Read more about: Larry Page, Google
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4. Apple stores Siri user data for up to 2 years

By Jason Ankeny Comment | Forward | Twitter | Facebook | LinkedIn

Apple (NASDAQ:AAPL) has revealed that its servers store iOS user search queries, messages and commands leveraging its Siri voice assistant technology for up to two years.

Siri, introduced with Apple's iPhone 4S in late 2011, applies search algorithms to translate verbal commands and perform device tasks. "If you turn off Siri, Apple will delete your User Data, as well as your recent voice input data," Apple's privacy statement reads. "Older voice input data that has been disassociated from you may be retained for a period of time to generally improve Siri and other Apple products and services."

Earlier this week, American Civil Liberties Union attorney Nicole Ozer called on Apple to clarify the policy. "It's not clear what 'disassociated' means. It's not clear what 'period of time' means. It's not clear what using it to 'generally improve Siri and other Apple products and services' means," Ozer told Wired. "The only thing that's clear is we really don't know what may be happening to the personal information we have told Siri, even after we turn Siri off."

Apple spokesperson Trudy Muller responded Thursday afternoon to Ozer's request, telling Wired the computing giant "may keep anonymized Siri data for up to two years. If a user turns Siri off, both identifiers are deleted immediately along with any associated data."

Muller explained that all Siri interactions are transmitted to Apple's data farm for analysis; each user is represented by a random number separate from his Apple user ID or email address, and all Siri files are associated with that number. Once a Siri recording is six months old, Apple "disassociates" the user number from the clip, deleting the user number from the voice file, but may still keep the disassociated files for up to 18 additional months for testing and product improvement purposes.

Muller added that Apple collects Siri data solely to improve the technology, taking steps to guarantee that all information is anonymous. "Our customers' privacy is very important to us," she said.

Ozer argued that Apple should link the Siri policy to its Siri FAQ webpage, noting that the policy is currently available exclusively within the Siri settings on each iOS device. "There is no good reason for Apple to not include information about privacy practices on their Siri FAQ page," Ozer said. She also urged consumers to use caution when accessing Siri, noting that "what you say to Siri could reveal sensitive things about you, your family, or business. Siri works for Apple, so make a note to yourself to really think before you speak."

For more:
- read this Wired article

Related articles:
Apple expands Siri, iTunes Match with iOS 6.1 update
Apple seeking to give Siri more personality
Chevrolet adds Apple's Siri voice controls to in-car infotainment system
Apple poaches Amazon exec Stasior to lead Siri unit
Report: Apple's Siri doubles iPhone data usage

Read more about: Apple, Mobile Search
back to top



5. Report: Android lags iOS in mobile ad spend, value

By Sandhya Raman Comment | Forward | Twitter | Facebook | LinkedIn

The value of ads running on Google's (NASDAQ:GOOG) Android-enabled devices declined sharply quarter-over-quarter, while ads for Apple's (NASDAQ:AAPL) iOS-enabled devices grew, according to a new report from MoPub. In fact, devices running iOS--including the iPhone, iPad and iPod touch--control over 75 percent of ad spend share, the report said.

MoPub, an ad management company, released its "Q1 Global Mobile Advertising Report," which examined cost per mille (CPM), click through rates (CTR) and competitive Factor to determine how consumers and advertisers interact with and purchase mobile advertising.

"In Q4 we definitely saw some a ramp up of demand and traction around Android, but in Q1 the traction wasn't sustained," explained Paul Gelb, MoPub's head of strategy, in an interview with FierceMobileContent. While Android gained some ad spend market share in February, by March it dipped lower than it had been in January before the increase.

"Monthly ad spend share on iPhone grew 12.4 percent over the quarter and now accounts over 50 percent of ad spend on the exchange or more than two times the share of Android smartphones," stated the report.

Android tablet traction was especially low and made up less than 1 percent of ad spend. Gelb credited this to fragmentation in the Android-enabled tablet market. "You definitely don't have a halo tablet device that has really captured the full attention of advertisers like you have with the iPad," said Gelb. If consumers gravitate around one type of tablet, this could increase the amount of ad spend targeted at Android tablets.

"Tablet impressions are extremely valuable, and there's a lot of commerce activity that goes on around tablets. Advertisers that have entered this space focus on tablets because of the bigger size, said Gelb. He cited the mobile-inspired Facebook Newsfeed redesign, which emphasized larger images.

Android's shrinking share of the mobile ad spend market is interesting, given its dominance in the U.S. smartphone OS market. Last month, comScore reported that Android powered 53.7 percent of smartphones, leading iOS' 38.9 percent market share. IDC, in a recent report, predicted that on the tablet side, Android would soon surpass Apple in terms of market share.

For more:
- see this release

Related articles:
Study: Most mobile games are played when users are at home
Accel Partners leads MoPub's $6.5M Series A round
AdMob alums launch mobile advertising startup MoPub
Google, Millennial Media executives debate future of mobile advertising
Foursquare nabs $41M to fuel mobile advertising ambitions
IDC: Facebook, Twitter usurp mobile display ad lead from Google, Millennial Media

Read more about: Mobile Advertising, Metrics
back to top



Also Noted

SPOTLIGHT ON... Microsoft updates Facebook for Windows Phone 8 to solve crashing issue

An updated version of Facebook (NASDAQ:FB) for Microsoft's (NASDAQ:MSFT) Windows Phone promises to solve an issue triggering crashes for many users.

Earlier this week, consumers running Facebook for Windows Phone 8 began complaining of crashes every time they accessed either comments or account notifications. According to Ubergizmo, users with Facebook for Windows Phone 7.x did not experience the same issues: Microsoft, not Facebook, is the publisher behind the app, and it appears likely that Facebook tweaked its API, resulting in problems for the WP8 iteration.

"Thanks to our friends at Facebook: a new FB app update is now in [Microsoft's Windows Phone] Store," Microsoft corporate vice-president Joe Belfiore tweeted Thursday. "It addresses a crash some people were hitting in the last update." Article

Quick news from around the Web

@FierceMobiCo: Editor's Corner: How Google Drive is changing the app development experience http://bit.ly/YZSoyb ArticleFollow @FierceMobiCo

> LinkedIn to test ads in mobile apps. Article

> Socialcam adds expanded user profiles, hashtags. Article

Wireless News

> Dish: Our offer for Sprint is better 'for national security' than Softbank offer. Article

> TracFone's Q1: 839K net adds, rising revenues and increasing ARPU. Article

And finally… RIP graphic designer Storm Thorgerson. Article


Webinars


* Post listing: Click here.
* General ad info: Click here.

> Creating new business opportunities with customer data - Thursday, May 16, 2pm ET / 11am PT

It's no secret that wireless operators have a lot of interesting data on their customers, but privacy concerns have always kept operators from profiting from that data. Yet that trend is changing as some service providers are finding different tactics to help marketers understand and engage with their customer base. Join us to discuss how operators can leverage their customer data, while still protecting customer privacy. Register Today!





Events


* Post listing: Click here.
* General ad info: Click here.

> Competitive Carriers Global Expo - April 17-19 - New Orleans

CCA is the premier trade show and conference for the competitive mobile ecosystem and brings together decision-makers for networking, learning and sharing best practices. CCA is the nation's leading association for competitive wireless providers. To register www.ccaevents.org.

> BlackBerry Jam for Developers - May 14-16 - Orlando, Florida

Ready to create innovative social experiences or engaging, in-demand mobile apps? BlackBerry® Jam Americas at BlackBerry Live™ is your opportunity to gain valuable knowledge direct from BlackBerry experts. Take your development platform to the next level. Register today!



> Andrew Seybold Wireless University at CTIA 2013 - May 20, 2013 - Las Vegas, Nevada

LTE worldwide broadband standard is changing wireless forever. Delve into the technologies, spectrum, deployments, ecosystems, and devices. Understand the implications. More information at www.andrewseybold.com

> The App Summit - May 21, 2013 - Las Vegas, NV

The annual international conference on multi-platform apps. Join us for our seventh event in Las Vegas as we bring together the top companies from around the globe that will help shape the future of applications and mobile web. Official Partner event of CTIA 2013 www.theappsummit.net.

> World of Tablets at CTIA 2013 - May 22, 2013 - Las Vegas, NV

Don't miss the longest running event dedicated to tablet strategies for the consumer and enterprise. The World of Tablets has consistently lead the tablet revolution by bringing together industry thought leaders. Visit www.tabletsevent.com.

 

> Fierce Innovation Awards 2012 Live Announcement of this Year's Winners - Now Available On-Demand

Please join Jason Nelson, Publisher of FierceWireless, FierceTelecom, and FierceCable as we announce the winners of the Fierce Innovation Awards 2012. Click here to RSVP today.



Marketplace


* Post listing: Click here.
* General ad info: Click here.

> Whitepaper: The Importance of Managing Privileged Accounts

Organizations can benefit greatly from a methodical process for the proper use, management and enforcement of administrative privileges. Read this whitepaper to learn how to develop and enforce a strategy for managing privileged accounts.

> eBook: Smarter Service: The Contract Center of the Future

This eBook explores the challenges facing traditional contact centers and the benefits of deploying the contact center of the future. You'll find links to further resources on the final page. Download today.

> Whitepaper: VoLTE: Why, When and How?

This whitepaper will argue that VoLTE creates a significant opportunity for operators, but warns that the evolution from existing voice services will place before them a number of serious challenges. Read More.

> Research: How to Unlock Knowledge from Big, Unstructured Data to Improve Customer Service

Learn how to unlock knowledge trapped in silos and systems and read how advanced enterprise search technology can put your organization's collective knowledge in the hands of your service reps. Watch your service performance improve and customer satisfaction soar. Download Now!

> eBook: The Promise of VoLTE

While operators are hesitant to move to VoLTE at the moment, experts predict that all operators will eventually move their services over. FierceWireless analyzes when the VoLTE switch will likely occur and how. Download for free today.

> Whitepaper: Cisco Small Cell Solution: Reduce Costs, Improve Coverage

Address the challenge of mobile service coverage and expand network capacity with the Cisco Licensed Small Cell Solution. Using small cells, service providers extend voice and data services to mobile subscribers while offloading traffic. Read this whitepaper today.

> eBook: eBook | Avoiding the Pitfalls of Android Fragmentation

Fragmentation between the multiple Android operating systems continues to plague device makers, developers and wireless operators. This eBook explores ways to overcome these challenges. Download for free today.



Jobs


* Post listing: Click here.
* General ad info: Click here.

> Instructional Developer II - Denver, CO - Cricket Communications

Cricket Communications, a subsidiary of Leap Wireless, is the pioneer and leader in delivering innovative value-rich prepaid wireless with no long-term contracts. Responsibilities include developing eLearning content and managing all training rollouts. 5 years' experience in eLearning and training content development required. Telecommunications experience preferred...Learn More.

> Need a job? Need to hire? Visit FierceWirelessJobs

Announcing FierceWirelessJobs, the new FierceMarkets careers site. Find the perfect job or post your openings at http://www.fiercewireless.com/jobs.

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